FBiH Employers Association to Novalić: Stop the discriminatory decision preventing FBiH products from entering the RS market

The Association of Employers of FBiH sent an open letter to the Prime Minister of FBiH, Fadil Novalić, which Patria conveys in its entirety:

- The Republican Administration for Inspection Affairs of the RS has sent a letter to all trade centers in the RS stating that products containing chemicals or biocides must be classified, specially packaged and labeled, and registered in the relevant records of the RS Ministry of Health and Social Welfare, otherwise, competent inspectorates will prohibit the sale of products and issue extremely high fines for entities engaged in their trade.

The statements from the RS Chamber of Commerce, claiming that the Rulebook is being misinterpreted, meaning that companies from the Federation do not need to register in the RS and can market their products in the RS, are only partially true. Namely, under the claim that companies "only need to meet the requirements of the rulebook," it is implied that they must sign contracts with companies from the RS for their products to appear on the shelves of the smaller BiH entity. And that this is the case, we provide proof in the attachment regarding the prohibition of product placement by the Department for Inspection Affairs and Municipal Police of the Municipality of Novi Grad.

Certain producers from the FBiH have inquired at the RS Ministry of Health, where they confirmed the conditions – to register their products, producers must register either a new company or a business unit in the RS, or authorize distributors from the RS who have exclusive sales rights, which abolishes already established sales channels, incurs unplanned, high costs, and makes producers and their products uncompetitive.

This decision is not only discriminatory, as it is absurd that producers registered in the FBiH have the possibility to market their products in European Union countries but not in the RS market, but it is also protectionist and contrary to the Constitution of BiH, as it restricts the free movement of people, goods, and capital, thereby disrupting the unified economic market!

Is the goal to put producers from the FBiH in a worse position compared to those in the RS? The decision is dangerous and leads to political and economic divisions, as certain informal groups from the FBiH have already announced a boycott of products from the Republika Srpska if the Decision remains in force.

Therefore, we demand an urgent reaction from the FBiH Government and competent authorities to protect producers and mitigate damages to the economy and economic system of Bosnia and Herzegovina by suspending the mentioned decision until adequate laws and rulebooks are adopted, as well as harmonizing the legal regulations of the FBiH that deal with this area with the regulations of the European Union, with mandatory compliance with the regulations and laws of the Republika Srpska.